President Bush this morning confirmed the government's $250 billion plan to buy shares in banks, in the latest move to calm the turmoil in the financial markets and stave off a deep recession. Speaking from the Rose Garden after an early-morning meeting with economic advisers, Bush said the move will help restore confidence and "return our economy to the path of growth and prosperity."
Treasury Secretary Henry Paulson later addressed the nation, urging banks “not to take this new capital and hoard it, but to deploy it” to spur economic growth, Bloomberg reports. Paulson reiterated limits on executive pay and golden parachutes, assuring investors the bailout is for the economy, not for the banks. “These are healthy institutions, and they have taken this step for the good of the US economy,'' Paulson said.